Profit First for Lawyers

Latest Episodes:

Is Your Household Your Law Firm’s Bank? Nov 09, 2023

Show notes

This candid episode tackles a difficult topic – many law firm owners are using their household income to subsidize their law firm’s business at the expense of their household finances.

RJon in the Studio

During a recording session, Karli asked RJon for clarity about why some law firm owners use household money meant for children’s education or other family expenses to fund their business. RJon calls this practice of paying for business expenses with household money a form of embezzlement. This is a hot-button topic he has spoken about at local bar association events in the past which has gotten him uninvited to future events.

Profit First For Lawyers Testimonial

We hear from lawyer, Nikita Wolf who shares her struggles after opening a new law firm. The challenges of building a client base coupled with using savings and borrowing money from family to pay bills. She talks about how transitioning her business model with How To Manage A Small Law Firm and reading the Profit First for Lawyers book is already starting to transform her business.

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Your future self will thank you!

Take Flight: Elevate Your Mindset to Profitability Nov 07, 2023

Show notes

Alejandra Leibovich, Co-Founder of How To MANAGE a Small Law Firm, explains how law firm owners can get off the ground and take flight to escape the “doctrine of sacrifice” mentality. She also recounts the early days of How To MANAGE and the origin of TAYE ASTUYA.

Stuck on the Ground

Running a profitable law firm requires a strategic bird’s eye view. Ale shares how struggling law firm owners stay bogged down in day-to-day tasks such as answering phones or cleaning toilets. This “ground level” thinking focuses on control and quality, but fails to effectively delegate those tasks, create systemized processes, or build in profitability.

“The only way for your law firm to grow is for it to help more people.”

RJon Robins

Steps to Take Off

Categorize overhead (Static or Dynamic) expenses.
Hire team members who can operate more strategically than you
Develop systems for accountability rather than to micromanage
Invest in areas such as marketing, training, and planning
Learn and then learn some more:
- Attend business education courses/events
- Gain insight from profitable law firm owners

Cruising Altitude

Profitability requires elevating your mindset. By taking flight you grow your firm’s capacity to serve more clients at a higher level. Plus, with increased profits, your law firm will attract rockstar team members to further your business goals.

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And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

Is It Overhead or Overhead? Nov 02, 2023

Show notes

In this episode of Profit First For Lawyers, RJon explains the revolutionary concept of categorizing overhead expenses as either “static” or “dynamic” to better control costs and increase opportunity for growth.

RJon in the Studio

RJon goes into detail about the differences between Static Overhead and Dynamic Overhead. He explains Static Overhead as fixed costs like rent, utilities, and subscriptions. Dynamic Overhead expenses include marketing, staff training, and financial planning. While Static Overhead costs are necessary to conduct business, these types of overhead expenses do not directly boost growth or increase profits. On the other hand, Dynamic Overhead fuels expansion and increases growth opportunities.

A Cautionary Tale

To illustrate the difference, RJon shares a cautionary tale about a law firm with stalled growth. Upon investigating the firm’s tightly controlled marketing budget, it was revealed that a successful employee networking initiative delivering great ROI was sidelined by an overzealous controller. By capping the dynamic marketing initiative, the firm likely missed out on hundreds of thousands in profits.

Key Takeaways

Categorize your overhead expenses as either static or dynamic
Look for opportunities to invest more in dynamic activities
Don’t let static caps limit areas of growth

Connect and Engage

Subscribe to the podcast
Watch episodes on YouTube
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Email us your feedback at podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

Face Your Fears Oct 31, 2023

Show notes

Fear and self-doubt can prevent us from achieving our biggest dreams and reaching our fullest potential. In this special Halloween episode of the Profit First For Lawyers podcast, Karli and Raul discuss how to face fears, unmask ego, and breakthrough limiting beliefs.

Key Insights from RJon

Their conversation revolves around a clip from a Facebook Live in 2021 of RJon talking through an early draft of the Profit First For Lawyers book. In the clip, RJon challenges the assumption that running a highly profitable law firm requires extreme luck or privilege. He asserts that if instead of making excuses, struggling lawyers spent time with highly successful lawyers they would realize the only difference is the choices made – choices struggling lawyers can also make.

Actionable Insights

Examine what is holding you back and be honest about the “why”.
Focus on making incremental progress rather than huge leaps.
Reframe success and give yourself permission to “fail”.

Tune into this episode of Profit First For Lawyers to discover how you can unmask the fears holding you back.

Connect and Engage

Subscribe to the podcast
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Email us your feedback at podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

Listen to past episodes with Raul Longoria: Killing Your Ego | The Power of Boundaries

Resources mentioned:

Additional information on the Dunning-Kruger Effect can be found in the Killing Your Ego episode.

To learn more about Live Quarterly Meetings visit https://howtomanageasmalllawfirm.com

Total Owner Benefits Oct 26, 2023

Show notes

An overview of Total Owner Benefits (TOB). Looking beyond just salary to the full profit potential law firm owners can receive as outlined in Chapter 9 of the Profit First for Lawyers book.

RJon in the Studio

RJon explores conventional vs. creative definitions of profit. He also tackles law firm owner pay as it relates to fair market salary for their work roles. He discourages inflated owner salary beyond what the firm would pay anyone else for the same job, as doing so reduces company profitability.

Book Testimonial

Attorney Andrea Shoup shares how she is implementing Profit First reporting and planning at her law firm with great results so far.

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Email us your feedback to podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

Focus On Things That Matter Oct 24, 2023

Show notes

In this episode, we are joined by RJon’s personal accountant, Daniel Ferro to discuss perspectives on profitability. Daniel shares his journey from traditional accounting jobs to joining RJon’s fast-paced team at How to Manage a Small Law Firm. Daniel offers a glimpse of what it is like to work closely with RJon and the insights he has learned along the way.

Defining Profitability

Daniel explains how RJon taught him the win-win concept. Which states that every honest exchange is profitable for both parties involved. Karli shares her own discussions with RJon about the win-win mindset as well.

Karli and Daniel discuss what profitability means both professionally and personally. Daniel reveals he is using Profit First accounting principles in his personal life. Which shifts the conversation to prioritizing what matters most in business and life.

RJon in the Studio

In a clip from chapter nine of the Profit First For Lawyers audiobook, RJon expands upon the possible answers to, “How profitable is your law firm?” A question with conventional and unconventional answers dependent on who is asking the question. The answers may surprise listeners.

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Email us your feedback to podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

Liberate Your Law Firm from GAAP Oct 19, 2023

Show notes

We continue exploring how Generally Acceptable Accounting Principles (GAAP) was not meant for non-publicly traded companies like private law firms.

RJon in the Studio

RJon reviews how GAAP was created by regulators to standardize publicly traded company accounting after the 1929 stock market crashes. He argues GAAP has nothing to do with maximizing private company profits. This is only one of the many reasons why law firm owners should take a closer look at their accounting practices.

Profit Should Not Be Left To Chance

RJon says GAAP treats profit like luck and lawyers who use GAAP leave their profit to chance. Yet many lawyers still allow bookkeepers and accountants to manage their firms’ accounting using GAAP. In an impassioned plea, RJon urges lawyers to liberate themselves from an accounting system that does not put their law firm’s profits first.

Listen to Episode 29: GAAP Was Not Meant For You

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Email us your feedback to podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

Truth is Kind Oct 17, 2023

Show notes

Denise Doonkeen returns to discuss how truthful yet kind communication, even when uncomfortable, leads to better outcomes in business and life.

A Coaching Session In The Studio

We hear a behind-the-scenes clip of RJon coaching Karli in the studio. After a “flat” reading, he urges her to give him candid and honest feedback about his narration performance. He explains that hard truth is far kinder than being nice.

Assume Goodwill

Denise shares a story from a previous employment about an uncomfortable talk with an employee. Her kind yet direct approach brought an underlying issue the employee was dealing with to light, which led to a solution.

Karli and Denise emphasize the value of a thoughtful delivery when dealing with issues directly. They also discuss the importance of being open, coachable, and lifelong learners. Which is something they have observed in RJon.

Listen to Denise in episode 12: Perception vs. Reality

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Subscribe to the podcast
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Email us your feedback to podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

GAAP Was Not Meant For You Oct 12, 2023

Show notes

In our ongoing accounting and tax series, we begin a two episode deep-dive into Generally Accepted Accounting Principles (GAAP). RJon takes a hard look at the origins of GAAP, explores why accountants and CPAs continue to use it, and why opting-out of GAAP is worth consideration.

RJon in the Studio

We hear a brief history lesson on the creation of GAAP. To do so we journey back to the Roaring ’20s when a booming stock market crashed triggering the Great Depression. This sudden financial collapse underscored the need for standardized financial reporting of publicly traded companies. So, GAAP was created with the goal of establishing rules and regulations to ensure transparency and accuracy in financial reporting. Which allowed investors the ability to make informed investment decisions. Which is a very good thing…for investors of publicly traded companies.

This is where RJon reminds listeners that small law firms are NOT publicly traded companies nor are they required to adhere strictly to GAAP. This is also where he encourages law firm owners to prioritize their profits and challenge the conventional use of GAAP by their bookkeepers and accountants.

To Be Continued…

The second part on the topic of GAAP continues in episode 31. For anyone who wants to skip ahead, turn to page 67 in the Profit First For Lawyers book to read more of RJon’s actionable insights.

Reference Source:

Visit http://archives.cpajournal.com/2005/105/infocus/p18.htm for additional information on GAAP.

Connect and Engage

Subscribe to the podcast
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Email us your feedback to podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

Does Your Accountant Have An Entrepreneurial Mindset? Oct 10, 2023

Show notes

In this episode, Oscar Ferenczi, General Manager of How To Manage A Small Law Firm, joins Karli in the studio. Oscar with a rich background in business discusses the importance of truth in business, growth strategies, and why it’s essential to seek advice from people who have themselves achieved success.

RJon in the Studio

While accountants may be adept at accounting for revenues and expenditures, their entrepreneurship and growth expertise might be limited. He emphasizes how important it is for professionals, including accountants, to walk the talk and how crucial it is to be entrepreneurial and growth-focused, not just technically proficient. He challenges listeners to question their CPA’s or bookkeeper’s own business growth strategies and plans with the goal of seeking advice from professionals who practice what they preach.

One way to know if you are working with an accountant who has an entrepreneurial mindset is to ask them questions about how they run their business. The questions RJon asks in this clip will sound familiar to those who recall the 7 Parts of Every Successful Law Firm series.

Speaking Truths

Oscar shares the most profitable advice he’s received from RJon who holds a firm belief in “truth above all”. He and Karli discuss how transformative understanding (and receiving) truthfulness can be as an accelerant to personal and business growth. Oscar also discusses RJon’s “win-win” model, a driving force in deciding when and if projects move forward.

Connect and Engage

Subscribe to the podcast
Watch episodes on YouTube
Follow Profit First For Lawyers on social media: LinkedIn | Instagram | Facebook
Email us your feedback to podcast@profitfirstforlawyers.com

And most importantly, order your copy of Profit First for Lawyers today!

Your future self will thank you!

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RJon in the Studio

Profit First For Lawyers Testimonial

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Stuck on the Ground

Steps to Take Off

Cruising Altitude

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RJon in the Studio

A Cautionary Tale

Key Takeaways

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Key Insights from RJon

Actionable Insights

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RJon in the Studio

Book Testimonial

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Defining Profitability

RJon in the Studio

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RJon in the Studio

Profit Should Not Be Left To Chance

Listen to Episode 29: GAAP Was Not Meant For You

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A Coaching Session In The Studio

Assume Goodwill

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RJon in the Studio

To Be Continued…

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RJon in the Studio

Speaking Truths

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